Fluent in influence

By Mary Stuart | Mercury

Wednesday

Oct 16, 2013 at 12:01 AMOct 16, 2013 at 11:00 AM

Gina Raimondo, 42 | General Treasurer, Rhode Island

She doesn’t shy away from a challenge. Faced with a state-administered public employee pension system that was only 48% funded, Gina Raimondo, Rhodes scholar and general treasurer of Rhode Island led the effort to get legislators to pass a comprehensive 2011 pension reform law that reduced a then $7 billion unfunded liability to about $4 billion but also delayed retirement and suspended cost-of-living increases. The likely 2014 Democratic gubernatorial candidate says the political process can work when leaders in both parties work to build coalitions and consensus.

You didn’t come from wealth, your family went through some hard times when your father’s factory closed, yet you managed to go to Harvard and Yale Law School, create a venture capital firm before your career in government. Do you think you’re an example of the American Dream?

I have been able to live the American Dream, considering where I started. My aunt dropped out of school to get a job so my dad could go to college. He went to college on the GI Bill. My parents sacrificed so much so that my brother, sister and I could go to college and to law school. I was able to have a successful career, all because of my parents’ hard work and sacrifice.

Why did you decide to run for public office?

When I was growing up, we were middle class. There was a middle class. I benefited from public libraries and public buses; it was a more level playing field. Now, the playing field isn’t level. We aren’t investing enough in public services like libraries, public education and higher education. Every kid deserves the opportunities that I had.

How do your venture capital skills translate to government?

When I worked in venture capital, I worked with people who are entrepreneurial and innovative. One of the things I’ve noticed about government is that it keeps on doing things the same way. Politicians are afraid to take the risks of doing things differently. We have to be willing to do things differently, and that is something I brought with me to office. We continually ask ourselves, can we do this better? When you are a venture capitalist, you have a vested interest in the future of a company, but you don’t own it and you don’t run it. You have to influence the decisions without controlling the company and to do that you have to build coalitions and partnerships. You have to educate and bring people along to your point of view. That’s what I have done as treasurer. The General Assembly voted almost unanimously for pension reform.

How did your childhood or your up-bringing lead you here?

My parents always told us to just work hard. It was a big deal when I got into Harvard; no one in my family had ever had that kind of opportunity before. My Mom sat me down and said, “You can go if you want to. We’ll figure out how to pay for it. But it’s not going to be easy for you. You’re going to be surrounded by wealthy kids from privileged backgrounds, but you’re going to have to work during school and summers. It’s going to be a lot of pressure for you.” At the time I thought, “Oh, Mom, I’ll be fine, we’re all the same.”

She sounds very wise!

When I got to college I discovered that she was absolutely right. On a Friday night I would have to work in the library. I didn’t have a car, or vacations, or the newest things. I did my school work and I worked. But she prepared me for that. She supported me, she called me all the time, and I graduated at the top of my class.

College is just not affordable these days, and kids have to go into so much debt to get an education. Is the “American Dream” still alive?

I don’t think every student graduating from high school should automatically sign up for $200,000 worth of college loans. One of the programs we launched is Empower RI, which is all about financial literacy and helping people make the right choices for them. Maybe it makes sense for you to get a loan to go to college, or maybe you should begin with a two-year technical training program. We help you make smart decisions.

How does Empower RI work?

There are a number of programs; one of them is EverFi, for high school students, which is about 40 high schools right now. It’s an online tool that teaches students financial literacy before they go to college. We also started a Financial Coaching Corps. We partner with a nonprofit called the Capital Good Fund, which trains volunteers from the community, and we match those volunteers with people who need financial coaching. They provide free, confidential, in-person, financial advice just for you. We have found in-person help has the highest impact.

I always thought of the treasurer’s office as being about balance sheets and budgets. I didn’t realize it offered social programs.

Everything I have done in Treasury has been designed to help every Rhode Islander, whether it is pension reform to save the pensions of state workers and teachers, or the Crime Victim Compensation Program. If you are a victim of a violent crime, you should call us. There is money available to help with counseling expenses, hospital costs, funeral expenses, or cleaning up a crime scene.

Did you create that program?

No, it has existed in the Treasurer’s office for a long time. When I took office in 2011, there was a backlog of 900 claims. Some people were waiting for claims made in 2007. We revamped that program, and took the backlog to zero. We now process most claims within a maximum of one week.

How did you do that?

We didn’t increase the budget or the staff. I put a new person in charge, Melba Depena, who is bilingual, which is very important, because we want to reach into all communities. I also found a volunteer who is an expert at making manufacturing companies more efficient. She graphed all the steps in the process and recommended a different workflow so we could do the same work with fewer steps.

What other programs from your office might we not know about?

Another program we have is unclaimed property. During the last fiscal year, Treasury returned more than $8 million to more than 8,000 Rhode Islanders. I met with one woman who found $11,000 and the money allowed her to pay her mortgage and stay in her house.

How do you achieve a work/family balance?

I love it when people say “working mom.” I never met a mom who doesn’t work! I have a terrific husband and parents who are amazing and supportive. I take it a day at a time. Like you, like everyone.

What is your favorite thing to do with your children?

We like to cook together. My daughter is nine and my son is six. We still have the tradition of Sunday dinner.

Who do you admire most?

My mother. Every day I appreciate her more, especially now that I’m a mom and managing my career. I have a greater appreciation for all the sacrifices she made for my brother my sister and me, how she weathered tough times. She is smart and could have done anything, but she chose to be the head of the family and keep us all together. She is hard-working and has incredible stamina at age 83. She’ll call me at 11 o'clock at night when I’m ready to go to sleep and she’ll have 52 ideas for me. She’ll say, “I was watching you on ‘Newsmakers’, and I have some suggestions.” Or, “I bought you a new lipstick to try out on high def.” I work hard to try to be as good as she is.

Never miss a story

Choose the plan that's right for you.
Digital access or digital and print delivery.